Texas Solar Panel Fraud Demand Letters

Fight back against solar installation fraud, misrepresented savings, unlicensed installers, and defective work in Texas. Use TDLR regulations, Tex. Occ. Code electrician requirements, and the Texas DTPA to recover your losses.

Common Texas Solar Panel Fraud Schemes
Fraud Type Warning Signs Typical Damages
Inflated savings promises Claims of 80-100% utility bill reduction without proper site analysis $5,000 - $30,000
Unlicensed installation No TDLR license verification, workers seem unqualified $10,000 - $40,000
Financing fraud Hidden fees, higher rates than quoted, undisclosed liens $2,000 - $15,000
False tax credit claims Guaranteeing tax credits you may not qualify for $3,000 - $10,000
Defective installation Roof damage, improper wiring, code violations $5,000 - $50,000
Equipment misrepresentation Lower-grade panels than promised, used equipment $3,000 - $20,000

Texas Regulatory Protections

  • TDLR Licensing: Solar installers must have proper electrical licenses.
  • Tex. Occ. Code Chapter 1305: Governs electrician licensing requirements.
  • DTPA Treble Damages: Up to 3x actual damages for knowing fraud.
  • Home Solicitation Act: 3-day cancellation right for door-to-door sales.

Red Flags to Document

  • High-pressure sales tactics or limited-time offers.
  • Refusal to provide license numbers or references.
  • Verbal promises not included in written contract.
  • System producing far less than projected.
  • No permit pulled or failed inspections.
Financing Trap Warning: Many solar fraud schemes involve predatory financing. If you signed a loan or PACE financing, you may owe payments even if the solar company committed fraud. Address the financing separately - dispute the loan based on fraud-in-the-inducement while pursuing the installer.
Documentation Checklist

Contract and Sales Documents

  • Signed installation contract (all pages).
  • Financing agreement and loan documents.
  • Marketing materials and sales brochures.
  • Energy savings estimates and projections.
  • Equipment specifications promised.
  • Warranty documentation.

Performance Evidence

  • Utility bills before installation.
  • Utility bills after installation.
  • Solar monitoring system data (actual production).
  • Comparison of promised vs. actual savings.
  • Comparison of promised vs. actual production.
Installation Documentation
  • Photos of installation (before, during, after).
  • Photos of any defects, damage, or poor workmanship.
  • Building permits (or evidence none were pulled).
  • Inspection reports and any failed inspections.
  • Equipment model numbers actually installed.
  • TDLR license verification for installer.
Communications
  • All emails and text messages with sales rep and company.
  • Notes from phone conversations (dates, names, what was said).
  • Written complaints submitted to the company.
  • Company responses and resolution attempts.
  • Recordings of sales pitches if legally made.
Verify Licensing Now: Search the TDLR license database at tdlr.texas.gov to verify your installer's licensing status. Document the search results with screenshots showing whether licenses were valid at time of installation. Unlicensed installation dramatically strengthens your fraud claim.
Demand Letter Strategy
DTPA Pre-Suit Notice (Required)
  • 60-day written notice required before filing DTPA lawsuit.
  • Must describe specific complaint in reasonable detail.
  • Must state economic damages claimed.
  • Must state attorney fees claimed (if any).
  • Must describe other relief sought.
  • Send via certified mail, return receipt requested.
Letter Components
  1. Header: Mark as "NOTICE PURSUANT TO TEX. BUS. & COM. CODE SECTION 17.505"
  2. Background: Contract date, installation date, system specifications promised.
  3. TDLR Violations: Document unlicensed work under Tex. Occ. Code 1305.
  4. DTPA Violations: Cite specific subsections of 17.46(b) that apply.
  5. Performance Failures: Compare promised vs. actual energy production/savings.
  6. Damages: Itemize all losses including overpayment, repair costs, diminished value.
  7. Demand: Specify total amount and 60-day deadline.
Multiple Targets
  • Solar Installation Company: Primary target for breach and fraud.
  • Sales Company: If different from installer, may be liable for misrepresentations.
  • Financing Company: May be liable if they knew of fraud or violated lending laws.
  • Individual Sales Rep: May have personal liability for fraud.
Financing Complications: If you financed through the solar company or a partner lender, address the loan separately. You may need to dispute charges with the lender based on fraud-in-the-inducement while pursuing the installer. Do not stop making loan payments without legal advice, as this could damage your credit.
Sample Texas Solar Fraud Demand Letter
[Date] Via Certified Mail, Return Receipt Requested [Solar Company Name] [Company Address] [City, Texas ZIP] Re: NOTICE PURSUANT TO TEX. BUS. & COM. CODE SECTION 17.505 60-Day Pre-Suit Demand - Solar Installation Fraud Contract Date: [Date] Installation Address: [Your Address] Amount Demanded: $[Amount] Dear [Company Owner/Manager]: This letter constitutes formal notice pursuant to the Texas Deceptive Trade Practices-Consumer Protection Act, Tex. Bus. & Com. Code Section 17.505, that [Solar Company Name] has engaged in deceptive trade practices and violated Texas licensing laws in connection with the solar panel installation at my residence. I hereby demand payment of $[Amount] within sixty (60) days. BACKGROUND On [Contract Date], I entered into a contract with [Solar Company Name] for installation of a solar panel system at [Your Address]. I was promised: - A [X kW] solar system with [Brand/Model] panels - Energy production of [X] kWh annually - Utility bill reduction of [X]% or $[X] per month - Federal tax credit of $[X] - Total system cost of $[Amount] with financing at [X]% I paid $[Deposit Amount] on [Date] and financed the remaining $[Amount] through [Financing Company]. LICENSING VIOLATIONS Upon investigation, I have discovered that [Solar Company Name] and/or its installers were not properly licensed under the Texas Occupations Code Chapter 1305 at the time of installation. Texas law requires electrical work, including solar panel installation, to be performed by licensed electricians or under the supervision of a licensed master electrician. Tex. Occ. Code Section 1305.162 prohibits performing electrical work without proper licensure. My search of the TDLR license database on [Date] revealed [describe findings: no license found / license expired / license in different name / etc.]. Contracts for unlicensed electrical work are voidable under Texas law, and I am entitled to rescission and full refund of all amounts paid. DECEPTIVE TRADE PRACTICES [Solar Company Name] has violated the Texas DTPA through the following conduct: 1. MISREPRESENTATION OF CHARACTERISTICS (Section 17.46(b)(5), (7)): Your sales representative [Name] represented that this system would produce [X] kWh annually and reduce my utility bills by [X]%. In reality, the system has produced only [X] kWh over [time period], resulting in utility savings of only [X]% - a fraction of what was promised. 2. FAILURE TO DISCLOSE (Section 17.46(b)(24)): You failed to disclose: - That your installers lacked proper TDLR licensing - [Hidden fees, true financing costs, etc.] - [Equipment substitutions, used equipment, etc.] 3. MISREPRESENTATION REGARDING TAX CREDITS (Section 17.46(b)(12)): Your representative guaranteed I would receive a federal tax credit of $[Amount]. [Describe actual tax credit situation - didn't qualify, smaller amount, etc.] 4. [ADDITIONAL VIOLATIONS AS APPLICABLE] INSTALLATION DEFECTS In addition to the fraud described above, the installation was defective: - [Describe defects: roof damage, improper wiring, failed inspection, code violations, etc.] - [Cost of repairs needed: $X] ECONOMIC DAMAGES I have suffered the following economic damages: Contract price paid: $[Amount] Financing charges: $[Amount] Difference between promised and actual utility savings (over X months): $[Amount] Tax credit shortfall: $[Amount] Cost to repair defects: $[Amount] Cost for independent inspection: $[Amount] TOTAL ECONOMIC DAMAGES: $[Amount] Under Tex. Bus. & Com. Code Section 17.50(b)(1), because your conduct was committed knowingly, I am entitled to recover up to three times my economic damages, plus court costs and reasonable attorney's fees. DEMAND I demand that [Solar Company Name]: 1. Rescind the contract and remove the defective solar system from my property at your expense; 2. Refund all amounts paid, including deposits and financing payments, totaling $[Amount]; 3. Pay for all roof and property repairs necessitated by your defective installation; 4. Release me from all financing obligations; 5. Pay my attorney's fees and costs. ALTERNATIVELY, if removal is not practical, I demand: 1. Payment of $[Amount] representing the difference in value between what was promised and what was delivered; 2. Completion of all necessary repairs to bring the system to code; 3. Refund of $[Amount] representing overpayment based on misrepresented system performance. RESPONSE REQUIRED You have sixty (60) days from receipt of this letter to respond with a written settlement offer. Pursuant to Tex. Bus. & Com. Code Section 17.505(d), I will provide you opportunity to inspect the system upon reasonable notice. If you fail to resolve this matter within 60 days, I will: 1. File suit in [County] Court seeking actual damages, treble damages, court costs, and attorney's fees; 2. Report this matter to TDLR for unlicensed electrical work; 3. File complaints with the Texas Attorney General Consumer Protection Division; 4. Report to the Better Business Bureau; 5. Post truthful reviews describing my experience. I remain willing to resolve this matter without litigation if you act promptly and in good faith. Sincerely, [Your Name] [Your Address] [Your Phone] [Your Email] Enclosures: - Installation contract - TDLR license search results - Utility bills (before and after) - System production data - Photos of defects - Communications with sales rep
Many fraudulent solar companies close and reopen under new names. Research the principals and identify any successor or related companies. You may also have claims against the financing company if they were aware of the fraud or violated lending laws. File complaints with TDLR and the Texas AG regardless, as this helps build cases against repeat offenders.
Stopping payments can damage your credit and result in collection actions. Instead, dispute the loan in writing with the financing company based on fraud-in-the-inducement. Some states have "holder in due course" limitations that allow defenses against assignee lenders. Consult with an attorney before stopping payments.
Yes. An independent solar inspection by a licensed electrician documents defects, code violations, and performance issues. The inspection report becomes key evidence for your demand letter and any litigation. Cost is typically $200-$500 and is recoverable as damages if you prevail.
Attorney Services & Contact

Texas Solar Fraud Recovery

I represent Texas homeowners defrauded by solar installation companies. From inflated savings promises to unlicensed installers and defective work, I pursue full recovery through DTPA claims, TDLR complaints, and litigation.

Email owner@terms.law or use Calendly for a paid strategy session.

Schedule strategy call

Services

  • DTPA 60-day demand letter drafting.
  • TDLR and Texas AG complaint filing.
  • Contract analysis and fraud evaluation.
  • Financing dispute assistance.
  • Civil litigation in Texas courts.
  • Settlement negotiation.

Pricing

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Demand Letter
$450 flat fee
Extended Negotiation
$240/hour
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Contingency (Strong Claims)
33-40%